Black money

In the image a United States machine gun, Calibre 7.62 mm, M60. Arms trafficking is one of the activities that move more black money along with drug trafficking and trafficking in persons for labour and sexual exploitation.

Black money, grey money, dirty money or B money is money, either cash or banking, which has not been declared to the Treasury.

Black money and gray money

Dark money can have two origins:

• Black money itself said (also sometimes called dirty money) is the one that proceeds from illegal activities (such as arms trafficking, drug trafficking, human trafficking, prostitution, illegal bets, smuggling, extortion, etc.) and is not declared to hacienda. The mere existence of black money is going to signal the exercise of illegal activities. Thus, criminals who possess an inexplicable wealth attempt to whiten the illegal capital even with the aim of paying the corresponding taxes and thus be able to use it as if it were from a lawful activity..

• Grey money, black money in a broad sense, is the one who still has a legal origin - for the performance of a job, sale of goods, etc. - has not been declared and therefore does not pay the taxes corresponding to the Treasury. Forks commit fiscal crime for tax circumvention, tax evasion for what are used tax havens, interposed companies, screen societies and many other financial procedures.

Money laundering

For money laundering, the collaboration and participation of banking entities and financial firms that collaborated in international financial crime is necessary. Bank secrecy intended to protect privacy is one of the causes of bank fraud. Money in cash facilitates the commission of crimes and therefore the possession of black money, although the globalized economy allows the existence of crimes committed with bank deposits in accounts in tax havens and also in states considered fiscally legal.

The bank and state authorities' war on cash aims to reduce the money supply in order to better control capital movements.